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Reforms for non-levy paying employers

If you don’t meet the threshold for paying the apprenticeship levy then you won’t need to register for an apprenticeship service account to pay for apprenticeship training until 2018.

Only companies with an annual payroll of £3 million or more have to pay into the levy, which means that 98% of employers don’t have to pay. Even if you aren’t currently paying into the levy, apprenticeship funding reforms will impact all employers who have or are looking to recruit apprentices.

If your company has fewer than 50 employees and you plan to employ an apprentice between the ages of 16 and 18 the Government will still cover 100% of their training costs (providing they fall within the funding cap for that particular standard). 19 to 24-year-old care leavers and those with an Education and Health Care Plan will also have their training fully funded by the Government.

If your apprentices don’t meet the conditions for fully-funded apprenticeships, your business can employ apprentices through a co-investment scheme which means you’ll only pay 5% of the costs of training your apprentices and the Government will pay the rest.

Apprenticeships have been split into 15 different funding bands which range from £1,500 to £27,000. The cost of an apprenticeship depends on the apprenticeship standard you choose, the level it is being taught at and the skills it teaches. These costs can be negotiated with us.

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